Australia House and Land Package Buying Process (2026 Update)
1. Reserve a Property
Once buyers have chosen the land and house they are happy with, they pay a holding deposit (typically A$1,000 – A$10,000) so the agent can request that the developer reserve the land for them. If the buyer changes their mind before the contract is signed, this holding deposit is fully refunded; if the contract is signed, the holding deposit forms part of the deposit. In addition, under Australia's latest AML regulations, the real estate agent must carry out due diligence on the buyer (including collecting personal information, verifying identity and assessing risk). Once these requirements are met, the process moves to the next step.
2. Sign the land contract and building contract
The developer/builder provides the land and building contracts to the buyer or the buyer's solicitor. The buyer signs after consulting their own solicitor and fully understanding the contracts; at the same time, the developer/builder signs the relevant contracts, and the purchase contracts then take effect.
3. Apply for FIRB approval
Overseas buyers submit a purchase application to Australia's Foreign Investment Review Board (FIRB). This step applies only to overseas buyers. The process is generally handled with the assistance of the buyer's solicitor. Fees are charged according to the land price.
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4. Pay land and building deposit
Within the timeframe set out in the contract (usually 7 or 14 calendar days), buyers must pay 10% of the land amount as a deposit, which must be paid into the developer's solicitor's trust account. At the same time, they pay a 5% building deposit to the builder's designated account. Overseas buyers who require a loan can borrow up to 70% of the total land and building contract value, and Aobo Realty assists with the loan application.
5. Land settlement
After the land title is registered, the land settlement process takes place. The buyer pays the balance of the land amount and the land stamp duty, at which point the land title is transferred into the buyer's name. This process is completed independently by the developer's and the buyer's solicitors.
6. Apply building permit
Once the builder receives confirmation that the buyer's land transfer has been completed successfully, they arrange the relevant building approvals and preparatory work. This process generally takes around one month.
7. Start building and pay by installment
The construction process for a house in Australia is mainly divided into five stages: slab, frame, lock-up, fixing and complete. The building contract sets out in detail the amount payable at the end of each stage. At the end of each stage the builder carries out an inspection of that stage's work and issues the corresponding invoice; once the work passes inspection, the buyer pays the builder the amount due for that stage as per the contract.
8. Final inspection and Building Insurance
Once the house is complete, the builder provides a Form 21. Upon receiving this form, the buyer must arrange the relevant building insurance. The builder will invite the buyer or the buyer's representative to attend the inspection. Any issues identified during the inspection are recorded, and the builder will then arrange rectification. If the buyer wishes to have a professional building inspector provide a formal inspection report, Aobo Realty can assist with arranging this.
9. House handover
The buyer pays the balance of the property price, the builder and the buyer/property manager complete the handover of keys, and the buyer can then move into their new home. For investment properties that are not owner-occupied, Aobo Realty arranges leasing straight away.
10. Update on FIRB status
The buyer needs to log in to their FIRB account and update the construction status, confirming to Australia's FIRB that construction has been completed in accordance with the building conditions required under the earlier FIRB approval, and entering the completion date of the house.